What makes penny stocks such an appealing investment opportunity is the fact that they can rise in price hundreds, and even thousands of percentage points in one day, unlike a blue chip stock.  Millions of investors around the globe depends on the highly fluctuative penny stocks every day to generate income and to maintain their livelihood.  It's a unique financial market that levels the entire playing field and provides the same opportunities to beginner to expert traders.

The Definition of a Penny Stock

A penny stock is a small cap stock that trades under $5 a share, and they are found in every financial market around the world, however the NASDAQ/OTC-BB Penny Stocks are the most actively traded out of all the markets.

The Profit Potential

The profit potential of an actively traded small cap stock "trading under $5/share" is truly enormous when compared to a stock at a higher price.  Most U.S. traded penny stocks are found listed in the NASDAQ OTC-BB Market.  Keep in mind, that you will also find the same type of penny stocks traded in foreign financial markets around the world.

An actively traded penny stock on the OTC-BB can fluctuate in stock price hundreds, even thousands of percentage points in one day.

Some of the factors that affect how the stock reacts under general market conditions are as follows: 1.) Volume/Activity, 2.) Investor Awareness, 3.) Current News, 4.) Momentum, 5.) Market Makers, 6.) Past chart activity, 7.) General Industry Conditions, plus so much more...

When you combine all of the stock factors mentioned above, the end result can be very profitable for the savvy investor.

Overall, Penny Stocks are risky investments, however they can be a gold mine for the experienced trader & because of the all round profit potential that these types of investments offer, they have become a serious income opportunity, that's capable of generating quick ROI "Return on Investment" for traders, regardless of what country they're in.

If you are aware of how stocks trade on the OTC-BB, you will know that they can rise exponentially, yet fall exponentially.  It is very common to witness penny stocks double, even triple in stock price daily.  The trick is to know when to buy and when to sell, and decide which type of order is best suited for investment on hand.

Some of the most common penny stock fluctuations are:

.001-.005, .01-.05, .05-.15, .20-.60, .60-$1, $1-3, $2-5

Let's make a comparison...

Penny Stock Vs. Blue Chip

Small Cap Traders "in general" do not hold their penny stock shares for an extended period of time.  Penny Traders are looking for a quick turnaround and these types of investments offer that.

A PENNY STOCK: Let's you have a $1,000 and you buy 20,000 shares of a penny stock trading at .05.  This stock only has rise in price .05 for you to double your money.  Significant price movements between .01-.05, and .05-.10 are extremely common and we know that you'll agree if you have witnessed some of the penny stocks trade on the OTC-BB.  The price of a penny stock can be affected as easily as news, volume, market makers, etc..  Knowing how to play the stock with these factors is the key to generating income in this market.

A BLUE CHIP STOCK: If you were to invest the same amount of money  ($1,000) in a stock trading at $30, you would only be able to purchase 33 shares total.  Now get this... the stock would have to increase in price "$30" (Thirty Dollars) for you to double your money.  In order for a stock like this to double in price, there would have to be some major developments in the company itself for the stock to reach those levels.  For the most part, Blue Chips or Higher Priced Stocks rise and fall on a more gradual and controlled level.  Penny Stocks react in an opposite manner, in the sense they can rise in fall dramatically in one day.

The bottom line is that Small Cap or Penny Stocks are a riskier, yet more profitable investment opportunity for investors over Blue Chips or Higher Priced Stocks.  The great thing about penny stocks is that you may buy them with a regular Individual Cash Trading Account with an Online Broker, and you don't need any prior experience "although it is helpful".  If you have the desire to invest in the U.S. NASDAQ Market "OTC-BB", and you are from another country, you will have no difficulty at setting up a brokerage account online and begin buying and selling penny stocks.  If you are a foreigner to the U.S., you will need to fill out a special for that the Online Broker will provide you.

Notice to all International Traders...

You may apply all of our Penny Stock Trading Tools and Information to any financial market in the world:

Buying and Selling Penny Stocks...

When placing orders to either buy or sell shares of any publicly traded penny stock, investors should always be able to: 1.) Identify the type of stock it is, 2.) Know the lowest and highest points the stock price has hit over the previous 52-weeks, 3.) Set a projected entry & sell point, 4.) Know what kind of order to place (For Example: GTC "Good Till' Cancelled", or Limit Order, etc...), 5.) He/She is up-to-date on current company events & press releases, 6.) Has a sense of where the resistance points are, 7.) Know the market makers, 8.) General Investor Awareness, plus so much more...

You will also need to have all of the trading tools on hand to help you buy and sell penny stocks more efficiently and profitably:

Penny Stock Lists "All Markets", Trading Tactics, Trading Tutorials, Chat Rooms, Message Boards, Penny Stock Newsletter/Mailing Lists, Software "Tracking, Analysis & Momentum Finders", Penny Stock Brokers, SEC Info Sites, Free Realtime Stock Quotes, Online Portfolio Managers, Daytrading Terminogy, plus so much more...

What The Penny Stock

Market Is Not...

Many new Penny Stock Investors think the OTC-BB Market is literally a "Bowl-of-Cherries", and believe that they will do well just because they have a general idea how to buy and sell penny stocks.  Well, if you chatted or spoken with a Penny Investor, you will know that IT IS NOT A BOWL OF CHERRIES.  In order to buy and sell penny stocks profitably, the investor must be informed of the latest techniques, resources, tools and information to achieve a substantial Return on Investment.  The sad thing is, most penny investor do not have the proper tools on hand to consistency generate profits in the market.

Our company does in fact make trading Penny Stocks seem like a Bowl-of-Cherries.  We are a serious company and do not mess around, and we don't take inaccurate information lightly.  We make sure that investors have trading tools on hand to buy and sell small stocks profitably throughout every trading day.

Nobody likes to lose money, we know that... We are a very personable company and are people just like you.  You work hard for your money, and our resources intended for you to grow it, not lose it.

The Internet is a big place, and there are many web sites that claim they are dedicated, but in reality are not.  Once they get their money, they want nothing to do with you.  WHAT KIND OF BUSINESS IS THAT?

If you send us an email, we will respond to you personally and follow through complete with whatever you may require, even if it means calling or going to your location.  How many companies can promise that?

We urge you to check out our eBook, and decide for yourself it's something you can use.  If you plan to or currently trade small cap stocks, then you need this eBook.  That's the bottom line...

Over the years, we have witnessed many changes in the market and have uncovered hundreds of industry techniques that has helped educate our customers for years, and assisted them in generating the kind of profits they've expected in the small cap market.  It is of utmost importance to know about every aspect of a penny stock before you invest in it, in order to maximize your ROI "Return on Investment" with every trade you make.  We can guarantee that investing without knowledge WILL BE your worst enemy with every BUY/SELL order you make.

We've been in the Online Penny Stock Information Business since 1995, and will remain on the web for years to come.  Our staff of financial information researchers are dedicated solely to compiling the most useful trading resources, tools and information for penny investors, and we are proud to present out flagship product:

The Penny Stock Tool Chest®